VZCZCXYZ0001
PP RUEHWEB

DE RUEHKU #0905 2560703
ZNR UUUUU ZZH
P 130703Z SEP 09
FM AMEMBASSY KUWAIT
TO RUEHKU/AMEMBASSY KUWAIT PRIORITY 5517
RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY
RUEKJCS/SECDEF WASHINGTON DC PRIORITY
RHMCSUU/FBI WASHINGTON DC PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
RUETIAA/DIRNSA FT MEADE MD PRIORITY
RUEHC/SECSTATE WASHDC PRIORITY 3934

UNCLAS KUWAIT 000905 
 
SENSITIVE 
SIPDIS 
 
STATE FOR NEA/ARP, PM/DTCC- BLUE LANTERN COORDINATOR 
 
E.O. 12958: N/A 
TAGS: EIND EINT ETRD ETTC KU
SUBJECT: RESPONSE, BLUE LANTERN LEVEL 3: POST SHIPMENT 
END-USE CHECK ON LICENSE 050126494 
 
REF: STATE 91627 
 
 ¶1. (SBU) This is an initial response to reftel action 
request.  Jasem Y. al Zayed, Project Development Manager, Al 
Sada General Trading & Contracting (SGTC) told Econoff on 
Sept. 9 that the serial number of the Smith & Wesson firearm 
mentioned in reftel is not on the manifest provided to SGTC 
by Smith & Wesson.  Post also conveyed reftel request for 
confirmation of receipt of the firearm to MOI POC Ajeel al 
Ajran, who referred the matter to other MOI officials.  Post 
will follow-up and report substantive response septel. 
 
BACKGROUND 
------------ 
¶2. (SBU) SGTC is a family owned business, with the 
headquarters located in the Yousef al Zayed Building. 
According to al Zayed, his father Yusef Mutlaq Naser al Zayed 
is the owner of SGTC. Jasem al Zayed runs the daily 
operations of the business.  SGTC was established in 1985 as 
a supplier of ready-made garments and later expanded into the 
security industry.  SGTC supplies security products to the 
military and public sectors.  Products include thermal 
imaging cameras, weapons, ammunitions and accessories, 
military surveillance equipment and military and civilian 
uniforms, electronic, security and communication systems. 
 
¶2. (SBU) According to al Zayed, SGTC has only had two Smith & 
Wesson orders since 2002, but he hopes to expand his 
contract. SGTC is the agent for Smith & Wesson to MOI.  He 
said that SGTC provided the current weapons shipment as 
samples to MOI in the hopes that it will expand its 
contract.  In addition to Smith & Wesson, SGTC also works 
with Jane's, U.K., CTS Combined Tactical Systems, Inc. and 
Insight Technologies, among others. Domestically, SGTC 
clients include the Ministry of Defense, the Ministry of 
Interior, Civil Defense and Fire Department and the National 
Guard.  SGTC contracts are valued at more than USD 20 million 
annually. 
 
¶3. (SBU) Al Zayed asserted that SGTC is merely the 
administrative middle man as an agent to the MOI; MOI picks 
up the weapons from airport customs and SGTC does not handle 
the weapons.  Al Zayed opened his sales records, going back 
to 2005, to Econoff.  He also provided the Smith & Wesson 
serial number list, which confirmed the serial number in 
question, BJM3362, was not included in the shipment. Al Zayed 
then offered to email Smith & Wesson to track to missing 
firearm.  (NOTE: Econoff was cc'ed on the mentioned email and 
is currently awaiting a response from Smith & Wesson.  Post 
has emailed the serial number list to DTCC.  END NOTE.) 
 
¶4. (SBU) COMMENT: All the documents and sales records 
presented appeared to be in order.  Al Zayed appeared fully 
cooperative and forthcoming with Econoff.  END COMMENT. 
 
********************************************* ********* 
For more reporting from Embassy Kuwait, visit: 
visit Kuwait's Classified Website at: 
 
http://www.intelink.sgov.gov/wiki/Portal:Kuwa it 
********************************************* ********* 
JONES